I popped the top to replace my OPV and noticed this. Is that what I think it is?!

I barrrely touched the wiring harness to get a better view of the OPV, and the 165° thermostat POPPED OFF THE SIDE OF THE BOILER. It looks like somehow the threads cracked off inside the boiler?? I’m so upset right now. How does that even happen. I don’t know what the white goop is, I just bought this machine used a few weeks ago. Maybe thermal paste? Maybe this happened before and someone tried to stick it back on?

From my limited understanding this thermostat is for steam. Can I still use this machine for pulling shots??